SFD Ex-head appointed CEO of new SMEs association

CAIRO – 28 April 2017: Ex-head of the Social Fund for Development, Neveen Gamea, was appointed Thursday as the acting executive director o the small- and medium-sized enterprises (SMEs) Association amid complaints it is lagging behind on its tasks.
Minister of Industry and Foreign Trade, Tarek Kabil, chose Gamea to run the association for three months, according to a statement.

Gamea’s appointment comes shortly after the Cabinet approved on Monday the new SMEs body, which falls under the jurisdiction of the Industry Ministry, to be the only institution responsible for startups in Egypt.

The sector is suffering from a number of challenges, such as registering companies, obtaining licenses, and access to finance due to lack of experience, Chairman of the Junior Businessmen Association (EJB), Ahmed Mashhour told Egypt Today.

The association will have a legal personality, according to the ministry’s statement.
The new institution is the only administrator that will direct the SMEs sector, which represents more than 75 percent of the Egyptian economy, including 2.5 million establishments that create thousands of jobs, the statement said.

The new body will be managed by a board of trustees and a board of directors. The board of trustees will be formed of a number ministers under the presidency of the prime minister, and the board of directors will include a group of experts presided by Kabil. A chef exectuvie officer will also be appointed.

Other entities that pertain to SMEs will come under the administration of the association, including the Industrial Training Council, the Industrial Modernization Center and the Technology and Innovation Center, the Ministry of Industry’s stated.